According to Cd One Price Cleaners' 2025 Franchise Disclosure Document, the company's net income as of December 30, 2022, was $271,884. This figure is part of the statement of members' equity, which details the changes in equity over time. The document notes that this net income figure has been restated due to corrections of errors in prior year financial statements, specifically related to accrued interest expense on installment notes payable with the United States Small Business Administration.

For a prospective Cd One Price Cleaners franchisee, understanding the franchisor's financial performance is crucial. A positive net income generally indicates financial stability and efficient operations. However, it's important to consider that this figure is restated, meaning previous financial statements had inaccuracies. Franchisees should inquire about the nature and impact of these corrections to fully understand the company's financial history.

Furthermore, the FDD provides additional context by showing the adjustments made to reconcile net income to net cash flows from operating activities. These adjustments include items such as reinvested dividends, net gain or loss on investments, depreciation and amortization, and changes in assets and liabilities. Analyzing these adjustments can provide a more comprehensive view of the company's cash flow and financial health.

In addition to net income, the statement of members' equity also shows capital contributions and withdrawals, which can significantly impact the overall equity position. For instance, in 2022, Cd One Price Cleaners had capital withdrawals of $1,005,000. Reviewing these figures alongside net income provides a more complete picture of the company's financial management and its ability to generate profits and manage capital effectively.